CHARMINAR GRANITES EXPORTS LIMITED
ANNUAL REPORT 2001-2002
Your Directors hereby presents the 11th Annual Report of the Company
together with the Audited Accounts for the year ended 31st March, 2002.
1. THE FINANCIAL RESULTS
The Company has achieved a turnover of Rs.37.56 lacs compared to the last
years' turnover of Rs.37.69 lacs despite the adverse market conditions ever
witnessed by our Country.
The financial results are as under:
(Rs. in Lacs)
Loss before depreciation and Interest 21.36 68.69
Interest 1.08 268.97
Depreciation 40.06 40.04
Loss before tax 62.50 377.70
Prior year adjustments - 5.79
Amount brought forward 1872.92 1489.43
Deficit carried forward 1935.42 1872.92
2. INDUSTRIAL RELATIONS:
Your Directors are happy to report that the industrial relations are
extremely cordial at all levels throughout the year.
Information in accordance with section 217(2A) of the Companies Act, 1956
read with the Companies (Particulars of Employees) Rules 1975, and forming
part of the Directors' report is not required to be furnished since none of
the employees is attracted by the provisions of the Section 217(2A) of the
Companies Act, 1956.
During the year, Shri K.Sudhir, Director resigned from the Board on
personal reasons and the Board expresses gratitude for the services
rendered by him during his tenure and Shri B. Srisailam, Director is
retiring by rotation at the forthcoming Annual General Meeting and being
eligible offer himself for re-appointment.
5. DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the Companies Act,
1956 with respect to the Directors' Responsibility Statement, the Directors
a) that in the preparation of the annual accounts, the applicable
accounting standards have been followed and that no material departures
have been made from the same;
b) that they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of the
Company at the end of the financial year and of the profit or loss of the
Company for that period;
c) that they have taken proper and sufficient care for the maintenance of
the adequate accounting records in accordance with the provisions of the
Companies Act, 1956, for safeguarding the assets of the Company and for
preventing and detecting fraud and other irregularities;
d) that they have prepared annual accounts on a going concern basis.
6. STATUS WITH BIFR
As members are aware that a reference was made with BIFR under Sick
Industrial Companies (Special Provisions) Act, 1985 and hearings were held
on 01.08.2001 and 04.10.2001. The BIFR has appointed State Bank of India,
Hyderabad as Operating Agency and also directed the State Bank of India to
appoint Special Investigative Audit (SIA) and Industrial Labour Law Expert
(LLE) to conduct Special Investigative Audit. State Bank of India appointed
M/s. Sharp & Tannan, Chartered Accountants to conduct the Special
Investigative Audit and they have submitted the report with State Bank of
India. Further proceedings are awaited from BIFR.
7. CORPORATE GOVERNANCE
Your Company is taking necessary steps to implement and comply with the
Clause 49 of the Listing Agreement w.e.f. 2002-2003. Therefore the present
Annual Report 2001-2002 does not contain a detailed section on Corporate
The Company's Auditors M/s. Nataraja Iyer & Co, Chartered Accountants, will
retire at the conclusion of the ensuing Annual General Meeting and are
eligible for re appointment.
9. CONSERVATION OF ENERGY ETC.
Information regarding energy conservation, Technology Absorption, Foreign
Exchange Earnings and Outgo as required by section 217(1)(e) of the
Companies Act, 1956 read with the Companies (Disclosure of the Particulars
in the Report of Board of Directors) Rules, 1988 and forming part of the
A. CONSERVATION OF ENERGY:
a) Energy Conservation }
b) Additional investment and Proposals }
proposals if being implemented for }
reduction of consumption of energy. }
c) Impact of the measures at (a) and (b) }
above for reduction of energy } Not Applicable
consumption and consequent impact }
on cost of production. }
d) Total energy consumption and }
energy consumption per unit of }
B. TECHNOLOGY ABSORPTION:
e) Efforts made in technology absorption : NIL
as per Form B.
C. FOREIGN EXCHANGE EARNINGS & OUTGO
f) Activities relating to exports, : The demand position for exports
initiatives taken to increase has been comfortable. During
exports, development of new export the year Orders from Denmark
markets for products and services have been tied up on regular
and export plans. basis.
g) Total foreign exchange used and earned.
Used : (1) Import of Consumable
& Spares Rs.1,97,758/-
Earned : Rs. NIL/-
(On receipt basis)
Form for disclosure of particulars with respect to Technology absorption,
Research and Development (R & D)
1. Specific area in which R & D carried : N.A.
out by the Company.
2. Benefits derived as a Result of the : N.A.
above R & D.
3. Future plan of action : Plans to reduce the Cost of
production in existing
Technology absorption, adoption and Innovation
1. Efforts in brief made towards : 1) Cutting tools reclamation.
technology absorption, adoption and
innovation. 2) Chemical additives in
2. Benefits derived as a result of the : Cost reduction
above efforts e.g. product improvement,
cost reduction, product development
imports substitution etc.
3. In case of Imported technology : -NIL-
(Imported during the last five years
reckoned from the beginning of the
following information may be famished,
a) Technology imported
b) Year of Import
c) Has technology been fully absorbed
d) If not fully absorbed areas where this has not taken place, reason
therefore and future plans of action.
10. ACKNOWLEDGMENTS :
The Board of Directors wish to place on record its appreciation for the
sincere and committed efforts put by the Employees, Shareholders,
Customers, Dealers and Bankers for the construction and growth of the
BY ORDER OF THE BOARD
PLACE : HYDERABAD A.B.SATYAVAS REDDY
DATE : 02-09-2002 CHAIRMAN & MANAGING DIRECTOR